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Tesco Q3 sales leap 11.8%

3:30pm GMT, Tuesday, 4 December 2007

Tesco generated strong third quarter sales growth both in the UK and overseas.

Supermarket giant Tesco has bounced back from a poor summer – posting strong sales for the third quarter 2007.

For the period ending 24 November, sales were up 11.8% - ‘driven by all five parts of our strategy,’ Tesco said.

The company attributed growth to its rapidly expanding international operations, as well as solid progress in its core UK business.

International sales were up 25.7% at actual exchange rates, generated by a particularly strong performance in Asia, where sales grew by 29% at constant rates.

Rapid growth was also seen in Tesco’s Central European markets, and through its acquisition of Poland’s Leader Price stores and its Makro business.

In addition, its Fresh & Easy stores in the US have been very well-received by customers, Tesco said.

In the UK, total sales rose 7.6% - increasing 4.8% including petrol, and 4.1% without. Strong sales were also driven by Tesco Direct and the tesco.com internet grocery business.

Dobbies Garden Centres made a good start as part of the group, Tesco added.

Tesco Chief Executive, Terry Leahy commented on the results: “We’ve maintained pleasing progress during the third quarter across the group. Overall sales growth has strengthened in the period, with international delivering a particularly strong performance, and the UK has again done well, with good growth in our core food categories.”

Categories:
Business, Retail



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